Structuring to Avoid the Need for Compliance with the Acts
A. The Landlord and Tenant Act 1987 6-01 As will be readily appreciated, having to comply with the Landlord and Tenant Act 1987 can be time consuming and costly for a landlord, and can therefore have an adverse effect on the value of the landlord’s property. The landlord may not be free to sell a property within the desired timescale: at least two months must elapse after serving section 5 notices before the landlord can proceed to exchange contracts with a third party, even if the tenants fail to respond to the section 5 notices. In the case of a proposed sale at auction, at least four months’ notice must be given to the tenants, which effectively cancels out the benefits of selling property at auction.